You will never pay interest that you haven't accrued on a standard mortgage, so the interest portion is ONLY what has accrued that month. 

In effect, he bought a note at a market discount and this discount has the same tax treatment as Original Issue Discount (OID).The OID rules treat the discount as additional interest which may be either accrued until the note is redeemed or reported as current income in the year received.The details can be found in IRS Pub 550.

I understand when they don't have their own......Just some curiosity on a nice lazy saturday morning from sunny sunnyvale in bay area... lol

To create transparency , what would be nice would be for HW to put public stats on- avg rehab bill for a property originally placed by HW when there is a vacancy (by unit type/SFH and neighborhood class)- avg # of days between rent stopping and again getting accrued for investors - avg lease length and % renewing (by unit type/SFH and neighborhood class)I don't want to create a digression to the thread around their sales practices but the pro forma numbers usually reduce the expected costs so they should take the data from their rentals and use it in all of their # projections.Numbers don't lie.

This business model raised a lot of questions and curiosity .

Your curiosity and focus will bring you more success.  

Plus from what I can tell, the property is located in a relatively good area, at least as far as turnkey properties go (hence, the higher than normal price for a mid-west turnkey).Your 10-year projection piques my curiosity.

It's like asking someone how much do you make a year.I understand their curiosity but I am not always comfortable anwering this question.

Either way, it was just a curiosity thing for me, and I didn't care for it much.  

Our portfolio is 100% in Old Louisville (though we've owned in other downtown adjacent neighborhoods in the past) and it is common to see extended vacancies in 3 bedroom units in winter months in this neighborhood.Out of curiosity, what PM company are you using?